Detroit Defends Ch. 9 Bid Against Retirees' Objections

Law360, Los Angeles (September 17, 2013, 10:41 PM ET) -- Detroit's bid for Chapter 9 bankruptcy protection doesn't conflict with the Michigan Constitution's pensions clause, the city told a federal bankruptcy judge Tuesday in response to objections by the committee representing the city's public-sector retirees.

In a brief, the city blasted the retiree committee's assertion that Michigan Gov. Rick Snyder’s authorization for Detroit to file for Chapter 9 violated the pensions clause of the Michigan Constitution, saying no action had been taken against the retirees' pension rights.

"As the city has explained, the mere authorization and filing of...
To view the full article, take a free trial now.
Try Law360 for free for seven days
Already a subscriber? Click here to login

Already have access?

  1. Forgot your password?
  2. Sign In

Get instant access to the one-stop news source for business lawyers

Required